Problem 13-4A Calculation of financial stetement ratios LO P3 Selected yearend financial statements of Cabot Corporation follow. (All sales were on credit selected balance December 31. 2017 were inventory, $50,900: total assets. $229,400; com she mon stock. $87000; and retained earnin ION Income Statement Sales S 448 600 297 450 151, 150 99,600 Coat of gooda soid Gross profit Operating expenses Interest expense Income before taxes Incomel tax expense 4,400 47, 150 18,994 s28,156 Netlincome CABOT CORPORATION Balancel Sheet Liabilities and Equity Assets Cashl short-term investments Accounts receivablexiti net Merchandise inventOry s 18,500 3,200 3 200 s 10 00o Accounts payab1 9,200 Accrued wages payable 29,200 Income axes payable 34, 150Long cerm hote payable secured by 65, 400 87 000 57,100 S: 234,400 moztgage on plant assets 2 5S0 Common stock 149 300 Retained earnings Prepaid expenpes Plant assetshet Total asseta s 234. 400 Total 1zabilaties and equity Required: tn ildales uncollected 4) inventory turnover 5) day Required: Compute the following: (1) current ratio. (2) acid-test ratio. (3) days sales uncollected. (4) inventory turnover (5) days's (6) debt-to-equity ratio, (7) times interest earned, (8) profit margin ratio. (9) total asset turnover, (10) return on total asse on common stockholders' equity. (Do not round intermediate colculations.) Complete this question by entering your answers in the tabs below. Req 4 Req 1 and 2 Req 3 Req 6 Req 7Req 8 Reg 9Req 10 Req 11 Compute the times interest earned rest Eamesd | Choose Denominator: Times Interest Earned f: Choose Nmerator: , Times interest earned 0 times 2018: Req 6 S 234 400 and SSHICY uired pute the following: (1 current ratio. (2) acid-test ratio, (3) days sales uncollected. 4 inventory tunover (5) days lebt-to-equity ratio. (7) times interest earned. (8) profit man in ratio. (9) total asset turnover, (10) return on total ass ommon stockholders' equity (Do not round intermediate calculetions.) omplete this question by entering your answers in the tabs below. g 1 and 2Req 3 ompute the profit margin rato. 8) Req 5 Req 6Req 7 Req 4 Req 8Reg 9 Req 10Reg 11 ofit Margin Ratio Profit margin ratio 18: $ 234.400 Total iiabiisties and equity Total assets $ 234 400 quired: mpute the following: (1) current ratio. (2) acid-test ratio. (3) days sales uncollected (4) inventory turnover. (5) days' sales debt-to-equity ratio. ) times interest earned, (8) profit margin ratio. (9) total asset turnover, (10) return on total assets, a common stockholders' equity. (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below ea 1 and 2Reg 3Reg 4 Compute the return on total assets (10) Req 5 Reg6 Rea7Rea 8Req 9 Req 10 Req 11 Total Assets = Return on total assets 018 01% Prev 5 of 5 Next>
